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Nestle opens expanded coffee manufacturing facility in South Africa with $84m investment

Zoom in font  Zoom out font Published: 2016-04-25  Views: 10
Core Tip: Nestlé has opened an instant coffee manufacturing facility in Estcourt, South Africa, after investing ZAR1.2bn ($84m) for its expansion.
Nestlé has opened an instant coffee manufacturing facility in Estcourt, South Africa, after investing ZAR1.2bn ($84m) for its expansion.

The investment for expansion of the factory is part of the company's ZAR2.9bn ($203m) foreign direct investment in the past five years.

The plant's expansion includes construction of a wastewater treatment plant, a new coffee processing plant, updating the existing coffee processing and coffee drying plant.

At least 20 direct and over 470 indirect jobs have been created since the start of construction of the facility.

Nestlé South Africa corporate affairs director Ravi Pillay said: "Investments of this magnitude demonstrate the Nestlé Group's commitment to long-term business building and the economic development in Africa.

"Through this investment, we will increase the capacity of our coffee factory and meet the growing consumer demand for coffee in the region. This is also aligned with our ambition of being the world's leading Nutrition, Health and Wellness Company while offering our consumers quality, nutritious and affordable products."

The Estcourt factory is one of the first three factories the company acquired when it established its presence in South Africa in 1916. 2016 marks Nestle's 100th year of operations in the country.

In 2015, the company launched a chicory farming initiative in Kwa-Zulu Natal and Eastern Cape Provinces in partnership with the Department of Trade and Industry (the dti) and the Department of Agriculture, Forestry and Fisheries (DAFF).

Dti minister Dr Rob Davies said: "This investment by Nestlé over the past five years, confirms that multinationals view South Africa as a preferred investment destination and a vote of confidence in South Africa. The project contributes to the industrial development of South Africa and our regional integration objective.

"Lastly, the upgrade and expansion in the Estcourt plant positions Nestlé as a coffee manufacturing hub for the African Continent. The dti has a long standing relationship with Nestlé and has provided support through incentives, supplier development and facilitation of their investment."
 
 
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